DeFi News
DeFi Protocol Platypus Announces Readiness to Refund Users
Recently attacked Decentralized Finance (DeFi) protocol Platypus Finance has expressed readiness to refund users that were victims of exploiters on Feb. 16, which led to the loss of $9.1 million.
In compensating the affected users, Platypus revealed via a Twitter post that it has created a portal where individuals can check the value of their loss as well as expected compensation for the claim.
We have just released a page where you can check the value of your loss and expected compensation for our first claim.
🔗 https://t.co/UTT054VpEkNeed a walk-through? We have prepared a medium for you: https://t.co/ZAjjogCCdX pic.twitter.com/mhdagdjmw3
— Platypus 🔺 (🦆+🦦+🦫) (@Platypusdefi) February 28, 2023
Platypus USD stablecoin unfortunately lost its peg with the U.S. dollar following the flash loan attack it suffered on Feb. 16.
As a consequence, the DeFi platform confirmed that it recorded a loss of $8.5 million from its main pool after the attack. Meanwhile, the protocol revealed that it has contacted the supposed hacker to negotiate a bounty.
However, an investigation into the incident by Platypus auditor Omniscia disclosed that the attack was made possible due to the code in the wrong order.
According to Platypus compensation plan, affected individuals will be partly compensated by returning around 78% of the main pool funds via minting frozen stablecoins.
4/ Rest assured, we're working hard to recover the remaining funds. As soon as we retrieve any funds, we'll distribute them to LPs via the compensation page. Stay tuned for updates and thank you for your support.
— Platypus 🔺 (🦆+🦦+🦫) (@Platypusdefi) February 28, 2023
The DeFi protocol also disclosed that it suffered two more attacks after the first one, leading to the loss of another $667,000 thereby putting the total losses at $9.1 million.
Tracing and Recovering Looted Funds
While the DeFi protocol Platypus reiterated that its top priority is to refund users, efforts are ongoing in a bid to recover looted funds.
It was reported on Feb. 25 that the French police have arrested two suspects related to the hack and seized around $222,000 worth of crypto assets. Platypus established that the arrests were aided by crypto sleuth ZachXBT and the Binance crypto exchange.
[#Cybercriminalité]La #PoliceNationale met fin à une escroquerie d'ampleur pour un préjudice de 9,5 millions💰sur une société américaine d’échange de cryptomonnaies.
Interpellation et convocation en justice de 2 individus
👉saisie de 210 000 € en cryptomonnaies#PoliceJudiciaire pic.twitter.com/rKKuG95cWh— Police nationale (@PoliceNationale) February 24, 2023
There is no mincing word that interoperability and collaboration between crypto institutions have led to several breakthroughs in the crypto space.
The collaboration between Binance and Huobi exchanges also led to freezing crypto worth $1.4 million from North Korean Hackers. This sort of cooperation should be sustained in order to get rid of daredevil exploiters.
